Today, Russian taxpayers are having a rough time. Frankly speaking, it has never been easy, but recently the tax policy is getting more and more tightening. And it is not because of introduction of new taxes and fees.
The tax authorities are getting stricter with taxpayers, pouncing upon behavior that used to seem normal.
The courts are increasingly inclined to support the claims of the tax authorities, even when they are objectively poorly substantiated. Proving in court is reversed: in fact, the entire burden of proof lies with the taxpayer. Some pessimistic commentators describe current situation as “tax genocide”.
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What should the taxpayer do?
First of all, of course, abide by the law. Do not search for such tax advisers who sell you a “tax avoidance scheme” (which, in the case of a trial, will probably be declared illegal), but those who comprehensively analyze the situation and point out the pros and cons of possible solutions.
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What if disagreement with the tax authority arose anyway?
At this stage our lawyers are ready to join the case. It is important to do this as early as possible, that is, already at the tax audit stage, and not at the trial stage (because it may be too late)!
Our lawyers will assist in preparation of objections to acts of tax audits, as well as in the preparation of expert opinions necessary to substantiate arguments of the taxpayer. After all, if there were no such conclusions in the verification materials, in the case of further proceedings the court will most likely take it negatively.
Tax audit
— Assistance in the preparation of objections
— Assistance in the preparation of expert opinions
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What if it comes to trial?
As it was already mentioned, the psychological advantage is initially on the side of the tax authority. Alas, the tax authorities take this advantage in bad faith, presenting evidence, the admissibility and reliability of which is questionable. In such a situation, one should not expect that the objective correctness of the taxpayer will ensure victory in court. Only pro-active stand gives the litigant a chance to win!
Our lawyers will help to formulate the position. It is also important to conduct examinations (handwriting, economic, construction, etc.), to work with witnesses, including those who gave testimony to the tax authority (was there any pressure on them?).
Trial
— Assistance in developing a legal position
— Assistance in the appointment of examinations
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What if the case is lost in the first instance?
Of course, it all depends on the certain case, but normally there is no reason for despair. Sometimes higher level courts accept legal arguments that were ignored in the first instance. In particular, judges of the Supreme Court Judicial Board on Economic Disputes recently showed respect for the taxpayer’s constitutional rights in a number of cases, resolving disputes against tax authorities (it suffices to recall the “fair tax administration” doctrine formulated by the Supreme Court in 2018). So if the taxpayer is sure of his position, and the stakes are high enough, it makes sense to bring the dispute to the highest possible level!
Here, our lawyers will help with the formulation of the legal position, as well as represent the interests of the client in the courts of all instances.
Appeal of judgments
— Assistance in preparing a legal position
— Representation in courts of all levels, including the Supreme Court
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And there is more
It should be added that tax disputes may have another aspect in which Bartolius is well versed. These are the claims of the tax authorities in the event of a taxpayer’s bankruptcy. Payment of taxes at the request of the tax authority in some situations may be invalid for bankruptcy reasons (as a transaction with preference). This will save part of the bankruptcy estate for other creditors of the debtor.
Our lawyers will help with challenging the payment of taxes on bankruptcy grounds, if any.
Tax requirements for the debtor in bankruptcy
— Assistance in challenging tax payments on bankruptcy grounds
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In general, nobody promised an easy life, but the taxpayer still has chances in a dispute with the tax authority, if, of course, the taxpayer has competent representatives…
